Leads on a Pay-Per-Closure Basis

[kishaloy]

Hi All,
I used to be a Junior Loan Officer and am now planning of making a high traffic website and will be marketing it to generate leads through the internet ,people filling up loan applications .I would like to work with someone who will be interested in closing the loans and pay a referral fee for the loan -say $500-$700 for non-jumbo and more for Jumbo ones .
If interested write to me at kishgarner_acacia@yahoo.com .We would be interested in having an agreement to provide the leads and then get the commission splits .
regards,
kish

[bwoodward]

Would this violate respa.

[drewwarren]

I would be interested in learning a little more about this. Let me know if we can work together.

[Darkstar]

I can see why you didn't become a senior loan officer! LOL j/k

You need to read RESPA as what you're requesting would be a direct violation...I'm really shocked you would even publish that in a public forum...

We have been working with lawyers for months trying to draft a contract that will stand up in court to do just that and I can tell you there aren't many lawyers that will even touch it...

Blue skies,
Stephen Ames
www.adjustableratemarketing.com 270-358-8634 (Open M-Sa till 8pmEST)
100% accurate ARM LEADS! * Email me for info and samples!
Edit/Delete Message

[Mark Madsen]

I agree, it doesn't make sense why anyone would want to promote and support violating RESPA on a public mortgage and real estate forum.

[arscherer]

I've been dealing with "lead buying" for about 2 years now, and have dealt with the "pay per close". As far as I know, the transaction has to be validated via an invoice for service. This, on the bright side, is not considered a RESPA violation.

[Darkstar]

If you're not an attorney, I advise you seek one and have him review your contract...If it will hold up in court, I'll pay you $20K for a copy of it, I've paid more than that already working on this, another $20K would be well worth it to me!...Let me know!...

[arscherer]

The company that I used to go through for this was PayPerFunding.com. They basically would set up an escrow account (pay in advance) and take the money out of that at closing. If the funds ran over for the month, there was an invoice to your account. I know that they have been doing these types of leads since December of 2006, and haven't incurred any RESPA violations.

[Darkstar]

I am very familiar with them, I've seen their "unchallenged" contract, our lawyer advised against it until they get challenged...The reality is the lead company stands to lose nothing compared the broker, so it's really up to the broker to make sure he is compliant...

[arscherer]

You have a very very good point, Steve... The same goes for any other lead, though with regard to compliance. The issue that I didn't like about them is they had a "varying" amount per lead closed. I, personally, felt like that was the wrong thing to do and could most definitely be considered a violation.

[Darkstar]

>>>they had a "varying" amount per lead closed.

THAT was it, I was just looking for the contract...THAT "could" encourage a broker to charge more, hense the violation...

We really tried to model them more than LTs model...Just couldn't find a lawyer that would write a contract they felt confident defending, they all would write one though! LOL

We would love to be able to offer that to brokers, and still want to, it just has to be right, we're not taking the maiden voyage to the champagne courtroom on our beer budget!...And it's like one of those things if it were legal and compliant, everyone would be doing it, what broker wouldn't want that opp if they had the right lead source and vice versa?...Heck even with the wrong lead source if you only paid per funding...

Thank you for civil debate ;-)

[arscherer]

It's always fun to have a civil debate; especially if it's broken up by various songs that you posted!

[QuickApply]

Wow - somebody touched on a hot topic. How about instead of pay per funding, the lead providers give everything away for free and then the lead buyers just send the providers really big birthday checks.
:D

By the way I have 24 brithday's a year. Twice a month, the 1st and the 15th.

[Darkstar]

It's hot for me as I've put much time and money into trying to make that happen...It will benefit brokers and myself however the potential for BS is over the top and not every lead supplier is on the up and up...

I've had lawyers get all excited and offer the following solutions:
- have your company put on the HUD
- have borrower sign disclosure stating they know $500 from the proceeds go to a marketing company
- have broker hire you as LO and pay you under payroll

and the best of all from a Louisville, KY attorney who must have worked for NIKE:
- Steve, if you and the broker are going to make money and neither of you wiill say anything, who f'ing cares, just do it

I paid for that advise...

[brokerintheskye]

Hey Stephen was he related?? Wait you were from MD...

[Darkstar]

The related attorney said NFW, he had no clue and didn't want to touch it...

Just trying to find an attorney even vaguely familiar with RESPA is difficult...The so-called RESPA attorney's won't touch it...

[brokerintheskye]

Hey Stephen call Jae she could help you out...

[Darkstar]

She absolutely helped me out, TY TY TY!!!!!!!!!!!!

[brokerintheskye]

You are quite welcome.

[keithjep]

www.payperfunding.com is a scam! I got conned into sending these crooks $2,200 with a refund guarantee written into the contract. I've been trying now for 3 weeks to get my refund and they won't take my calls or answer my emails.

DO NOT GET RIPPED OFF LIKE I DID!

They tell you that leads are only sent to 3 LO's. LIE! Every lead I called had been contacted by innumerable LO's and were very angry!

They tell you the leads are hot inquities from their lead generation sites! LIE! Every one I called submitted their internet inquiry 2 and 3 months ago! Many had already closed on their loans and most were demanding to be put on a DNC list!

I found from other sources that "payperfunding" buys their leads from other lead sources and resells them.

I lost my $2,200!!! Don't lose yours!!!

[steelers007]

Hi All,
I used to be a Junior Loan Officer and am now planning of making a high traffic website and will be marketing it to generate leads through the internet ,people filling up loan applications .I would like to work with someone who will be interested in closing the loans and pay a referral fee for the loan -say $500-$700 for non-jumbo and more for Jumbo ones .
If interested write to me at kishgarner_acacia@yahoo.com .We would be interested in having an agreement to provide the leads and then get the commission splits .
regards,
kish


I like this arangement as it pays per close and I am honest. Sounds like a win-win to me. You can reach me at james@nationalpacific.net. I will send you a follow up email to your yahoo address.

[Mark Madsen]

If you're not an attorney, I advise you seek one and have him review your contract...If it will hold up in court, I'll pay you $20K for a copy of it, I've paid more than that already working on this, another $20K would be well worth it to me!...Let me know!...




Have you worked out the RESPA violations yet?

[Secret]

Hi All,
I used to be a Junior Loan Officer and am now planning of making a high traffic website and will be marketing it to generate leads through the internet ,people filling up loan applications .I would like to work with someone who will be interested in closing the loans and pay a referral fee for the loan -say $500-$700 for non-jumbo and more for Jumbo ones .
If interested write to me at kishgarner_acacia@yahoo.com .We would be interested in having an agreement to provide the leads and then get the commission splits .
regards,
kish

What you describe is a clear-cut, absolute, slam-dunk, 100% positive, no doubt about it, RESPA Section 8 felony violation ... you need to find another line of work in an industry that's not as regulated as this one. :D

[ShortSale]

It looks like Kish has disappeared after his felonious post. The internet is funny like that.

By any measure, times have certainly changed in the overall mortgage climate; it went from the 'rah-rah get anybody a loan' days to a more cautious, vigilant, and sobering industry.

Yes, the times have certainly changed....

...but the posts remain.

(this concludes this week's episode of "Where's Kish")